(8/2006)
The objectives of these two Royal Decrees are to encourage the investors and futures traders to enter into more futures contracts sales transactions and to promote both of Thailand’s futures markets, the Agricultural Futures Exchange of Thailand (AFET) and the Thailand Futures Exchange (TFEX), by providing tax privileges in the form of specific business tax exemption.
Royal Decree No. 451 provides a retroactive specific business tax exemption on sales of futures contracts in accordance with the laws governing agricultural futures trading on the Agricultural Futures Exchange of Thailand (AFET) that have taken place since 28 May 2004.
Further specific business tax exemption is granted under Royal Decree No.455 on sales of derivatives in accordance with the laws governing derivatives on the Thailand Futures Exchange (TFEX). The exemption is effective as of the date of commencement of the derivatives trading on the TFEX, which was 28 April 2006.
